Ok, thank you for the thorough response. You mentioned that the scholarship income will go on our dependent child's tax return ... how do we include/report that? Do we manually increase the W-2 reported wages for our child by tacking-on the taxable scholarship income? Also, you mentioned in "very unique circumstances" it's possible for the parents to "shift some more of the scholarship to the dependent's income" ... but based on the first comment, it sounds like you're saying all the taxable scholarships are supposed to be included in our dependent child's income already. And I think the MAGI on our MFJ return will exceed $180k ... so it may be a moot point.
